Hiya;
here's a new plugins to play with - http://bit.ly/3JoUuO
Featured posts gives you an admin menu where you input a sitewide feed (or any feed). We use the tags blog feed when using the Sitewide tags plugin. It will gather the posts and you can pick and choose which ones to feature in the enclosed widget. Don't want the widget? There's a template function call you can use. Right now, if you want to change the options, you'll have to edit the plugin.
It's all in the post above.
If you use it, drop a link so we can all go look. :) Have fun!